Audacy Inc (AUD) 2023 Q1 法說會逐字稿

Good morning, and welcome to Audacy's First Quarter 2023 Earnings Release Conference Call. (Operator Instructions) this conference is being recorded. I would now like to introduce your first speaker for today's call, Mr. Richard Schmaeling, CFO and Executive Vice President. Sir, you may begin.

早上好，歡迎來到 Audacy 2023 年第一季度收益發布電話會議。 （操作員說明）正在錄製此會議。我現在想介紹今天電話會議的第一位發言人，首席財務官兼執行副總裁 Richard Schmaeling 先生。先生，您可以開始了。

Thanks, Rob. Welcome to Audacy's first quarter earnings conference call. A replay will be available shortly after the conclusion of today's call at the replay link or number noted in our release. During this call, the company may make forward-looking statements, which are based upon the company's current expectations and involve risks and uncertainties. The company's actual results could differ materially from those projected in these forward-looking statements. Additional information concerning factors that could cause actual results to differ materially are described in the Risk Factors section of the company's annual report on Form 10-K. As such, risks and uncertainties updated from time to time in the company's SEC filings. We assume no obligation to update any forward-looking statements, except as may be required by law. During this call, we may reference certain non-GAAP financial measures. We refer you to the Investors page of our website at audacyinc.com for reconciliations of such measures and other pro forma financial information. I'll now turn the call over to David Field, our CEO.

謝謝，羅布。歡迎來到 Audacy 第一季度收益電話會議。在今天的電話會議結束後不久，我們將通過我們發布的重播鏈接或號碼提供重播。在此電話會議期間，公司可能會做出前瞻性陳述，這些陳述基於公司當前的預期並涉及風險和不確定性。公司的實際結果可能與這些前瞻性陳述中預測的結果存在重大差異。有關可能導致實際結果出現重大差異的因素的其他信息，請參見公司 10-K 表格年度報告的風險因素部分。因此，公司向美國證券交易委員會提交的文件中的風險和不確定性會不時更新。除非法律要求，否則我們不承擔更新任何前瞻性陳述的義務。在此次電話會議中，我們可能會參考某些非 GAAP 財務指標。我們建議您訪問我們網站 audacyinc.com 的投資者頁面，以了解此類措施和其他備考財務信息的對賬情況。我現在將電話轉給我們的首席執行官大衛菲爾德。

Thank you, Rich. Welcome all to enter to Audacy's first quarter earnings call. Thanks for joining us today. This morning, in addition to sharing our first quarter results and our second quarter outlook, we will share some additional color on our progress as we continue our work to navigate the storm and drive our recovery. This is, of course, a challenging time for our company as we battle through the difficult ad market headwinds impacting companies all across the media landscape. As a reminder, over the past few years, Audacy achieved scale through our acquisition of CBS Radio, roughly tripling our size and establishing a strong differentiated position with our exclusive premium content, leading positions across the country's largest markets and unrivaled leadership in sports and news radio. In addition, we have been pursuing a broad-based digital and ad tech transformation to capitalize on our scale and establish the company as a true multi-platform audio company through a number of acquisitions, investments and initiatives. As a result, today, we are one of the country's leading podcasters have built an emerging, high-potential innovative audio streaming platform and are working to build competitive ad tech and data capabilities. It is unfortunate, but of course, the unanticipated reality that we have pursued our transformative work in the midst of a global pandemic, sustained supply chain disruption and an extended at recession. This has obviously placed stress on the company's finances exacerbated by the business' high degree of operating leverage. And yet, notwithstanding the financial challenges, the fundamental inherent value proposition of Audacy and our ability to serve listeners and customers remains intact and distinctive, and we continue to play offense, investing in people, platforms, technology, content, capabilities and growth initiatives to better serve listeners and customers and enable a brighter future. First quarter results were impacted by the ongoing challenges across the ad market. Revenues declined 5.7%, in line with our forecasted decline of mid-single digits. Core spot radio revenues were down 9%. Local revenues held up considerably stronger than national, including local digital up 19%. Total digital revenues were down 2%. Excluding podcasting, digital revenues were up 3%, led by a strong quarter for our digital marketing solutions business. Total podcasting revenues were down in the quarter, although podcasting advertising revenues were actually up 14%, excluding the departure of our largest podcast network publishing partner, which moved off of our platform last May. I'm pleased to report that we continue to make solid progress on a number of fronts as our team continues to execute our strategic plans. During the first quarter, we completed the sale of broadcast towers for $17 million. We also expect to close on our $15.5 million sale of 2 radio stations in either second or third quarter and have a number of other real estate sales working their way forward. We also continue to take additional actions to reduce expenses significantly, but while at the same time, making sure that we continue to drive investment in critical transformational growth initiatives and capabilities, Rich will provide further color on all of this in a few moments.

謝謝你，里奇。歡迎大家參加 Audacy 第一季度財報電話會議。感謝您今天加入我們。今天早上，除了分享我們第一季度的業績和第二季度的展望外，我們還將分享一些關於我們在繼續努力渡過難關和推動復甦的過程中取得的進展。當然，這對我們公司來說是一個充滿挑戰的時期，因為我們正在努力應對影響整個媒體領域公司的艱難廣告市場逆風。提醒一下，在過去的幾年裡，Audacy 通過收購 CBS Radio 實現了規模，將我們的規模擴大了大約兩倍，並憑藉我們的獨家優質內容、在全國最大市場的領先地位以及在體育和新聞方面無與倫比的領導地位建立了強大的差異化地位收音機。此外，我們一直在尋求基礎廣泛的數字和廣告技術轉型，以利用我們的規模，通過一系列收購、投資和舉措，將公司打造成一家真正的多平台音頻公司。因此，今天，我們是美國領先的播客之一，已經建立了一個新興的、具有高潛力的創新音頻流平台，並正在努力建立有競爭力的廣告技術和數據能力。不幸的是，當然，我們在全球大流行、供應鏈持續中斷和經濟衰退持續的情況下進行變革性工作是意想不到的現實。這顯然給公司的財務帶來了壓力，而公司的高經營槓桿又加劇了這種壓力。然而，儘管面臨財務挑戰，Audacy 的基本內在價值主張以及我們為聽眾和客戶提供服務的能力仍然完好且與眾不同，我們繼續進攻，投資於人員、平台、技術、內容、能力和增長計劃，以更好地服務聽眾和客戶，成就更美好的未來。第一季度業績受到整個廣告市場持續挑戰的影響。收入下降 5.7%，符合我們預測的中個位數下降。核心現場廣播收入下降了 9%。地方收入比全國收入高得多，包括地方數字收入增長 19%。數字總收入下降了 2%。不包括播客在內，數字收入增長了 3%，這主要得益於我們數字營銷解決方案業務的強勁季度。本季度播客總收入下降，儘管播客廣告收入實際上增長了 14%，這不包括我們最大的播客網絡發布合作夥伴的離開，該合作夥伴於去年 5 月離開了我們的平台。我很高興地報告，隨著我們的團隊繼續執行我們的戰略計劃，我們繼續在許多方面取得穩固進展。第一季度，我們以 1700 萬美元的價格完成了廣播塔的銷售。我們還預計將在第二季度或第三季度以 1550 萬美元的價格完成對 2 個廣播電台的銷售，並且還有許多其他房地產銷售正在推進。我們還繼續採取額外行動來大幅減少開支，但與此同時，確保我們繼續推動對關鍵轉型增長計劃和能力的投資，Rich 將在短時間內為所有這些提供更多信息。

We also continue to see significant opportunities for reduced expenses over time as we work to reduce our physical space requirements significantly, capitalize on new technologies and reduce our exposure to select sports and podcast content deals that are meaningfully underwater. Turning to our emerging  Audacy streaming platform. We are seeing some organic acceleration in our digital platform usage metrics as listeners discover the innovative enhancements we are making to the listening experience. Net monthly listeners on our digital platform grew by 8% year-over-year. Organic app installations growth accelerated to 59%. Total listening hours to our O&O stations and exclusive content grew by 4% for the quarter, accelerating to 7% in March and 9% in April, led by a surge in TLH to REWIND, our technology enabling on-demand DVR functionality now enhanced with our exclusive chapter content descriptions on the Audacy app. We believe that planned further enhancements to the streaming listening experience through the Audacy app, together with our unique and proprietary content will continue to power our streaming listener growth.

我們還繼續看到隨著時間的推移減少開支的重要機會，因為我們努力顯著減少我們的物理空間需求，利用新技術並減少我們選擇有意義的水下體育和播客內容交易的風險。轉向我們新興的 Audacy 流媒體平台。隨著聽眾發現我們對聆聽體驗所做的創新改進，我們的數字平台使用指標出現了有機加速。我們數字平台上的每月淨聽眾同比增長 8%。有機應用程序安裝增長加速至 59%。我們的 O&O 電台和獨家內容的總收聽時間在本季度增長了 4%，在 TLH 到 REWIND 的激增的帶動下，3 月份加速至 7%，4 月份加速至 9%，我們支持點播 DVR 功能的技術現在通過我們在 Audacy 應用程序上的獨家章節內容描述。我們相信，通過 Audacy 應用程序進一步增強流媒體收聽體驗的計劃，以及我們獨特和專有的內容，將繼續推動我們的流媒體聽眾增長。

Turning to podcasting. We moved our primary podcasting studios under common leadership last month. placing Genal Wise Berman in charge of our podcast content and partnership efforts, including our C13 and Pineapple Street Studios. The move should enable us to drive significant synergies and enhanced business practices that we expect to yield meaningfully higher future profitability. We operate one of the country's largest and most award-winning podcasting businesses with 44 million listeners. Last year, we began to shift our strategic focus to more profitable areas of the business, and we are now starting to realize the benefits of that transition. For example, in the first quarter, we grew the number of listeners to our locally produced podcasts, the most profitable part of our business by 26%. The -- we expanded our partnership work with HBO, adding the -- last of Us companion podcast, which was #1 on the Apple charts along with our succession companion podcast. We also announced new projects with Amy Polar, the WNBA and flee of the Red out Chile peppers. And we continue to lean into our leadership in sports with our 2,400 sports studio, which we launched last year and is experiencing very rapid growth. I also want to share a couple of thoughts on our developing ad tech. 1.5 years ago, we acquired the audio ad tech business of Wide Orbit and rebranded it as amperage. Since then, we have been pursuing an aggressive road map to develop our own proprietary tech stack and ad product capabilities. We recognize that we are playing catch-up with some of our leading peers in the audio space and are working hard and at considerable expense to drive this transformation. Like any company launching emerging tech capacity, there have been some bumps along the way, but it is great to see the progress our tech team is making. We expect to deliver a number of important ad products later this year that should enable us to deliver meaningfully higher levels of streaming audio sales performance, tapping into demand pools and data opportunities that we are currently unable to access. This work does commit a cost, but notwithstanding market challenges, we continue to build capacity across our tech and engineering teams as well as our RevOps team.

轉向播客。上個月，我們將主要的播客工作室轉移到共同領導下。讓 Genal Wise Berman 負責我們的播客內容和合作夥伴關係工作，包括我們的 C13 和菠蘿街工作室。此舉將使我們能夠推動顯著的協同效應和增強的業務實踐，我們預計這些實踐將產生有意義的更高的未來盈利能力。我們經營著美國最大、獲獎最多的播客業務之一，擁有 4400 萬聽眾。去年，我們開始將戰略重點轉移到利潤更高的業務領域，現在我們開始意識到這種轉變的好處。例如，在第一季度，我們本地製作的播客的聽眾數量增加了 26%，這是我們業務中利潤最高的部分。我們擴大了與 HBO 的合作夥伴關係，添加了我們的最後一個伴侶播客，它與我們的繼任伴侶播客一起在 Apple 排行榜上排名第一。我們還宣布了與 Amy Polar、WNBA 和 flee of the Red out Chile peppers 的新項目。我們繼續依靠我們在體育領域的領導地位，我們的 2,400 體育工作室是我們去年推出的，並且正在經歷非常快速的增長。我還想分享一些關於我們正在開發的廣告技術的想法。 1.5 年前，我們收購了 Wide Orbit 的音頻廣告技術業務，並將其更名為 amperage。從那時起，我們一直在追求積極的路線圖，以開發我們自己的專有技術堆棧和廣告產品功能。我們認識到我們正在追趕音頻領域的一些領先同行，並且正在努力工作並付出相當大的代價來推動這一轉變。與任何推出新興技術能力的公司一樣，一路上也有一些顛簸，但很高興看到我們的技術團隊正在取得進步。我們預計將在今年晚些時候提供一些重要的廣告產品，這將使我們能夠提供有意義的更高水平的流媒體音頻銷售業績，利用我們目前無法訪問的需求池和數據機會。這項工作確實會產生成本，但儘管存在市場挑戰，我們仍會繼續在我們的技術和工程團隊以及 RevOps 團隊中建設能力。

Turning to second quarter pacings. As you have heard from others, ad market conditions remain quite challenging. Local has held steady and actually slightly better than Q1, but there has been no improvement in national conditions, which remain quite weak. -- we are currently pacing down 7% and expect revenues to decline by mid- to high single digits for the quarter. We do note that our comps will get easier as we continue through the year. We are beginning to see some improvement in our largest ad category automotive. After a modestly positive first quarter, second quarter auto pacings are currently up 13%. And we note that a handful of major national and local customers who have been dark since the start of the pandemic have recently placed business with us. To be clear, the auto business remains way behind pre-pandemic levels, but the signs are at least encouraging. In closing, notwithstanding the market challenges we are enduring, the opportunities to capitalize on our key growth drivers and deliver significantly higher future levels of EBITDA remain intact. We fully recognize that in these uncertain times, it is hard to look beyond current circumstances. -- but we remain excited about numerous growth opportunities across the company, notably including our various digital businesses, the impact of our enhanced national enterprise sales team and our deepening customer and agency engagement, potentially accelerated audience growth from our streaming audio platform, new pools of ad demand that will be unlocked with the upcoming completion of various ad tech, ad product and data enhancements and planned business model and margin improvements. Furthermore, we note that as economic conditions ultimately normalize, roughly 90% of any future recovery in radio revenues would flow through to EBITDA. We noticed we have before that we can achieve a healthy level of EBITDA recovery at substantially lower levels of radio ad spend than before. Finally, before turning it over to Rich, I want to acknowledge the outstanding team at Audacy and express my deep appreciation for their excellent work and dedication as we continue to execute our plans and drive our business forward through the current economic challenges. Rich?

轉向第二季度的節奏。正如您從其他人那裡聽說的那樣，廣告市場狀況仍然充滿挑戰。當地持穩，實際上略好於一季度，但國情沒有好轉，仍然相當疲軟。 -- 我們目前正以 7% 的速度下降，預計本季度收入將下降中高個位數。我們確實注意到，隨著我們繼續這一年，我們的比賽會變得更容易。我們開始看到我們最大的廣告類別汽車有所改善。在第一季度略有上漲之後，第二季度的汽車節奏目前上漲了 13%。我們注意到，自大流行開始以來一直處於黑暗狀態的少數主要國家和地方客戶最近與我們開展了業務。需要明確的是，汽車業務仍遠遠落後於大流行前的水平，但跡象至少令人鼓舞。最後，儘管我們正在承受市場挑戰，但利用我們的主要增長動力並實現未來更高水平的 EBITDA 的機會仍然存在。我們充分認識到，在這些不確定的時期，很難超越當前的情況。 ——但我們仍然對整個公司的眾多增長機會感到興奮，特別是包括我們的各種數字業務、我們增強的國家企業銷售團隊的影響以及我們不斷加深的客戶和代理參與、我們的流媒體音頻平台、新池可能加速觀眾增長隨著即將完成的各種廣告技術、廣告產品和數據增強以及計劃中的業務模型和利潤率改進，廣告需求將得到釋放。此外，我們注意到，隨著經濟狀況最終正常化，未來廣播收入恢復的大約 90% 將流向 EBITDA。我們注意到之前我們可以在比以前低得多的廣播廣告支出水平下實現健康的 EBITDA 恢復水平。最後，在將其轉交給 Rich 之前，我要感謝 Audacy 的傑出團隊，並對他們在我們繼續執行我們的計劃並通過當前的經濟挑戰推動我們的業務向前發展的過程中所做的出色工作和奉獻表示深深的感謝。富有的？

Thanks, David, and good morning. Our total net revenues for the first quarter came in at $260 million, down 5.7% year-over-year. Our core spot revenues were down 9% for the first quarter, and local spot continued to be stronger than national. Our digital revenues came in at $57 million in the first quarter and were down 2% year-over-year as both our streaming and podcast revenues weakened sequentially. Our network advertising revenues were down 6% year-over-year, but strengthened later in the quarter and were up 1% in March. Turning to the outlook for our second quarter revenues. We project that our total revenues will be down mid- to upper single digits for the quarter, and this is in comparison to softer prior year comps. As you will recall, we and others experienced a slowdown in advertising demand starting at the end of the first quarter last year as inflation ran and the Fed began tightening interest rates. In the first quarter of last year, our revenues were up 14% year-over-year, and our growth rate slipped to up 5% year-over-year in the second quarter. Moving to our first quarter expense performance. Our cash operating expenses came in at $256 million or up 3% year-over-year, driven largely by an increase in our variable selling expenses tied to our digital marketing solutions product line. The company has continued to work to further reduce its expenses, and we expect that our expenses for the second quarter will be down about 3% year-over-year. And we expect that our expenses over the last 3 quarters of this year will be down by around 4% or by greater than $35 million. Turning to our financial position. Our compliance basis first lien net leverage was 3.8x at the end of March compared to our maintenance covenant of 4x. And our liquidity was $124 million, down $21 million from year-end. Since the first quarter, advertising demand has further softened and we are concerned that it could get worse before it gets better. The company is continuing to work to accelerate revenue growth, develop and execute added cost reduction actions and to sell other noncore assets. However, due to the uncertainty of the advertising outlook, these actions may not be sufficient to fully mitigate the impact of potential further advertising weakness. This outlook increases the risk that we may not be able to sustain compliance with our first-lien maintenance covenant over the next 12 months, and this uncertainty led the company to include a disclosure about its ability to continue as a growing concern in the footnotes to its financial statements in our first quarter 10-Q, which will be filed later today. This assessment is not an event of default under any of the company's set agreements. It doesn't impact our day-to-day operations, and it is merely based on our current projections of our future operating results. Our first-lien maintenance covenant is only for the benefit of our revolving lenders and our relationship banks have historically been willing to amend covenants to provide relief during recessionary periods, but there can be no assurance they would be willing to provide such relief in the future. The company is finalizing its preparation to commence discussions with its lenders to explore refinancing and strategies to manage its liabilities, and we continue to expect to initiate this process before the end of this quarter. As part of this process, we will also seek an amendment of our first-lien maintenance covenant. Beyond these statements, we will not be providing any further details about our plans at this time. With that, Rob, we'll go to questions.

謝謝，大衛，早上好。我們第一季度的總淨收入為 2.6 億美元，同比下降 5.7%。第一季度我們的核心現貨收入下降了 9%，本地現貨收入繼續強於全國。第一季度，我們的數字收入為 5700 萬美元，同比下降 2%，因為我們的流媒體和播客收入都連續走弱。我們的網絡廣告收入同比下降 6%，但在本季度後期有所增強，3 月份增長了 1%。談談我們第二季度的收入前景。我們預計本季度我們的總收入將下降中上個位數，這與去年較軟的收入相比。您可能還記得，從去年第一季度末開始，隨著通貨膨脹和美聯儲開始收緊利率，我們和其他公司經歷了廣告需求放緩。去年第一季度，我們的收入同比增長 14%，第二季度我們的增長率同比下滑至 5%。轉向我們的第一季度費用表現。我們的現金運營費用為 2.56 億美元，同比增長 3%，這主要是由於與我們的數字營銷解決方案產品線相關的可變銷售費用增加所致。公司繼續努力進一步減少開支，我們預計第二季度的開支將同比下降約 3%。我們預計今年最後三個季度的支出將下降約 4% 或超過 3500 萬美元。談到我們的財務狀況。 3 月底，我們的合規基礎第一留置權淨槓桿為 3.8 倍，而我們的維護契約為 4 倍。我們的流動資金為 1.24 億美元，比年底減少了 2100 萬美元。自第一季度以來，廣告需求進一步疲軟，我們擔心情況可能會在好轉之前變得更糟。公司將繼續努力加速收入增長，制定和執行額外的成本削減措施，並出售其他非核心資產。然而，由於廣告前景的不確定性，這些行動可能不足以完全減輕潛在的進一步廣告疲軟的影響。這種前景增加了我們在未來 12 個月內可能無法維持遵守我們的第一留置權維護契約的風險，這種不確定性導致公司在腳註中披露了其繼續作為越來越令人擔憂的能力我們第一季度 10-Q 的財務報表將於今天晚些時候提交。根據公司的任何既定協議，本評估不屬於違約事件。它不會影響我們的日常運營，它僅基於我們當前對未來運營結果的預測。我們的第一留置權維護契約僅是為了我們的循環貸款人的利益，我們的關係銀行歷來願意修改契約以在經濟衰退期間提供救濟，但不能保證他們會願意在未來提供此類救濟.該公司正在完成準備工作，開始與貸方討論以探索再融資和管理其負債的策略，我們繼續期望在本季度末之前啟動這一過程。作為此過程的一部分，我們還將尋求修改我們的第一留置權維護契約。除了這些聲明之外，我們目前不會提供有關我們計劃的任何進一步細節。有了這個，Rob，我們將開始提問。

We will now be conducting a question-and-answer session.(Operator Instructions) Our first question is from Dan Day with B. Riley Securities

我們現在將進行問答環節。（操作員說明）我們的第一個問題來自 Dan Day 和 B. Riley Securities

So first one for me, I think one of the issues, some of the other media businesses that have experienced stock or bond prices that reflect an elevated probability of the restructuring? Is it maybe some of the advertisers or other important partners or vendors might be hesitant to make longer-term or significant commitments? Just how do you prevent that from happening as you navigate this turnaround?

所以第一個對我來說，我認為其中一個問題是，其他一些經歷過股票或債券價格反映重組可能性增加的媒體企業？是否有一些廣告商或其他重要的合作夥伴或供應商可能對做出長期或重要的承諾猶豫不決？在您駕馭這種轉變的過程中，您如何防止這種情況發生？

We see no evidence of that to date, Dan, either on the buy side or sell side. As Rich noted, it's business as usual. We cited our cash position and so forth. And again, we feel right now, we've had no evidence of any meaningful concerns along the lines that you referenced.

迄今為止，無論是在買方還是賣方，我們都沒有看到任何證據表明這一點，Dan。正如 Rich 指出的那樣，一切如常。我們引用了我們的現金狀況等等。再一次，我們現在覺得，我們沒有證據表明您提到的任何有意義的問題。

Okay. So I look at the CapEx number, you got it down to about $30 million in 2020 and assuming that's effectively bare bones level, just given the situation. Any reason we shouldn't expect CapEx to be down effectively at those levels in 2023.

好的。所以我看一下資本支出數字，到 2020 年你把它降到了大約 3000 萬美元，並假設這實際上是基本水平，只是考慮到這種情況。我們不應該期望資本支出在 2023 年有效下降到這些水平的任何原因。

So there are CapEx investments that have a very strong ROI in a fairly short period of time. And we have a number of projects in flight, particularly in the real estate side of our business that we are swinging hammers as we speak. So I don't -- we don't expect to build to pay the CapEx back to that same level, Dan. But we're scrutinizing every dollar for sure and continue to work, as we said, to reduce our costs everywhere practically possible.Â

因此，有些資本支出投資在相當短的時間內具有非常高的投資回報率。我們有許多項目正在進行中，特別是在我們業務的房地產方面，我們正在揮舞錘子。所以我不 - 我們不希望建立以將資本支出支付回同一水平，丹。但正如我們所說，我們肯定會仔細審查每一美元，並繼續努力，以盡可能降低我們的成本。

Our next question is from Craig Huber with Huber Research Partners.

我們的下一個問題來自 Craig Huber 和 Huber Research Partners。

 Can you go through for me if you would. The planned divestitures, what you think that might -- you might get for planned divestitures that would close the rest of the year? And then say again, if you would please, what happened in the first quarter when you closed on the dollar amounts?

如果你願意，你能幫我通過嗎？計劃中的資產剝離，你認為可能會 - 你可能會因為計劃中的資產剝離而獲得什麼，這些資產將在今年剩餘時間結束？然後再說一遍，如果你願意，第一季度當你關閉美元金額時發生了什麼？

So we sold $17 million of towers in the first quarter. David mentioned we have a pending sale for a couple of radio stations, about $15 million that we expect to close on either 2Q or 3Q. And then as we said last time, we think that our sales rest of year, that will be another $10 million. So $25 million plus, and we're working on more now. And hopefully, next time we speak, we'll have more to report, but we're working on building the pipeline.

所以我們在第一季度售出了 1700 萬美元的塔樓。 David 提到我們有幾個廣播電台的未決銷售，我們預計將在第二季度或第三季度完成約 1500 萬美元的銷售。然後正如我們上次所說，我們認為我們今年剩餘時間的銷售額將再增加 1000 萬美元。所以超過 2500 萬美元，我們現在正在努力增加。希望下次我們發言時，我們會有更多的報告，但我們正在努力建立渠道。

When you say more to report, do you think it'd be overly significant, some of the stuff you could put on the market?

當你說更多的報告時，你是否認為它會過於重要，一些你可以投放市場的東西？

I don't know at this point. There's a number of conversations we're in the midst of. But in order of magnitude, could it be another $20 million short in that ballpark, but not $50 million or $100 million.

我現在不知道。我們正在進行許多對話。但按照數量級的順序，在那個球場上還能再缺 2000 萬美元，而不是 5000 萬美元或 1 億美元。

Okay. That's helpful. Can you just -- because of the wide disparity between the national spot performance versus local. Can you just break that out for me, just quantify in the first quarter, how you just trending or did and maybe talk about the trends for the current quarter? -- if you can quantify it appreciate it...

好的。這很有幫助。你能不能——因為國家現場表現與當地表現之間存在巨大差異。你能不能為我把它打破，只是在第一季度量化，你是如何趨勢或做的，也許談論當前季度的趨勢？ ——如果你能量化它，感激不盡……

 Yes. So the spread was -- for us, local was down about 5% year-over-year that national was down in the mid to upper teens.

是的。所以傳播是——對我們來說，本地同比下降了大約 5%，而全國下降了 5% 左右。

 And just to dovetail off of Rich's comment, he's referring to radio. And as I noted, our local digital performance actually was up in the high teens.

並且為了與 Rich 的評論相吻合，他指的是廣播。正如我所指出的，我們的本地數字性能實際上已經達到了十幾歲。

Okay. And then would you say the second quarter trends for local and national? How would you break that out? How it's pacing so far in...

好的。然後你會說第二季度本地和國家的趨勢嗎？你會如何打破它？到目前為止它的節奏如何......

We haven't broken it out, Craig, but we -- but it has softened somewhat versus the first quarter sequentially.

克雷格，我們還沒有打破它，但我們 - 但與第一季度相比，它已經有所軟化。

Although I think as I mentioned in my comments, local is essentially the same. We've seen a little more weakness on the nationals.

儘管我認為正如我在評論中提到的那樣，本地本質上是相同的。我們已經看到國民的弱點。

So national has gotten a little bit worse in the second quarter, but not so much local, -- is that what you're saying?

所以國家在第二季度變得更糟了一點，但當地並沒有那麼多——你是這麼說的嗎？

I think it's important to note, Craig, and said this in our comments that last year, the first quarter was fairly strong. We were up 14% year-over-year, and that rate of growth fell back to just 5%. So it backed up by 9 points from 1Q to 2Q. So we're up against softer comps in 2Q and vulgaris as look similar to what they look like in the first quarter year-over-year.

我認為重要的是要注意，克雷格，並在我們的評論中說，去年第一季度相當強勁。我們同比增長了 14%，但增長率回落至僅 5%。所以它從第一季度到第二季度備份了 9 個點。因此，我們在 2Q 和 vulgaris 中遇到了較軟的組合，它們看起來與第一季度的同比情況相似。

Okay. And then my last question is kind of a point here. About the cost, I mean I feel really bad in the position of your company is facing out given the environment. I'm not trying to be terabit here at all, but you know these numbers a lot better than I do, Rich, but I mean your adjusted EBITDA of $2 million in the first quarter versus $25 million a year ago. You have some CapEx have to net against that, $32 million of interest expense. I mean, to be honest with you, why are costs not down a lot more here? I mean I know you're trying to preserve the company for the long term. I'm worried you're not going to get to the medium term, let alone the long term, why are costs not down, honestly, like 10% right now. I mean what...

好的。然後我的最後一個問題是這裡的一個重點。關於成本，我的意思是，考慮到環境，貴公司所面臨的處境讓我感到非常糟糕。我根本不想在這裡成為 terabit，但你比我更了解這些數字，Rich，但我的意思是你第一季度調整後的 EBITDA 為 200 萬美元，而一年前為 2500 萬美元。你有一些資本支出必須抵消 3200 萬美元的利息支出。我的意思是，老實說，為什麼這裡的成本沒有下降很多？我的意思是我知道你正試圖長期保護公司。我擔心你不會進入中期，更不用說長期了，老實說，為什麼成本沒有下降，比如現在下降 10%。我的意思是...

Yes. So Craig. No, I understand, Craig. Look, the first quarter, we had given guidance that we thought our cost would be flat to down slightly for the full year. But we're now updated that guidance in our costs over the last 3 quarters of the year, but we expect to be down by around 4% or by over $35 million. So the company is continuing to work to reduce its costs. But I think you need to recognize that if you have as a mental model, what the company did in 2020 and think about how things are different in 2023, they're quite different. In 2020, growing the outset of the great at the pandemic, for example, pretty much every major sports we was disruptive and we were able to reduce our sports rights fees quite significantly because lots of games were canceled. Back when we took some actions from in terms of deferral of salary increases deferral of compensation and rollbacks. We did some things that were in the context of the moment, palatable. And of course, the employment environment today is quite different than it's -- we are fiercely competing for talent as our other companies. So there's a lot of things that are different today than what they were in 2020. And the companies -- I look at it, Craig, our costs this year will be down versus 2019. So look back to 2019 that 3 years ago and 4 years ago. Then they'll be down by greater than $60 million versus 2019. And a lot's happening between in terms of inflation, et cetera. So I hear you. I understand what you're saying. I wish I had a magic wand. We are doing everything that we think is practical and prudent to mitigate the persistent advertising weakness that we have experienced. We have seen at the outset of this call that happy anniversary. It's been a year since the advertising environment turned down at the outset of the Fed's rate type in cycle. And this has persisted for a year and no signs of it abating yet. But that will come, of course, but I think we have likely a few difficult quarters ahead of us. So I hear you, Craig, we doing everything we think is appropriate than practical and that's what we're at.

是的。所以克雷格。不，我明白，克雷格。看，第一季度，我們給出的指導意見是我們認為全年的成本將持平或略有下降。但我們現在更新了今年最後 3 個季度的成本指導，但我們預計將下降約 4% 或超過 3500 萬美元。因此，該公司正在繼續努力降低成本。但我認為你需要認識到，如果你有一個心智模型，公司在 2020 年做了什麼，並思考 2023 年的情況有何不同，它們就會大不相同。例如，在 2020 年，隨著大流行病的開始，我們對幾乎所有主要體育項目都進行了破壞，並且由於許多比賽被取消，我們能夠大幅降低體育版權費。當我們在延遲加薪、延遲補償和回滾方面採取一些行動時。我們做了一些符合當下背景的事情，令人愉快。當然，今天的就業環境與以往大不相同——我們和其他公司一樣在激烈地爭奪人才。因此，今天有很多事情與 2020 年不同。公司 - 我看，克雷格，我們今年的成本將低於 2019 年。所以回顧 3 年前的 2019 年和 4幾年前。然後他們將比 2019 年減少超過 6000 萬美元。在通貨膨脹等方面發生了很多事情。所以我聽到你了。我明白你在說什麼。我希望我有一根魔杖。我們正在採取我們認為切實可行和審慎的一切措施，以減輕我們所經歷的持續的廣告疲軟。我們在本次電話會議開始時就看到了那個快樂的周年紀念日。自美聯儲利率週期開始時市場環境轉差已經過去一年了。這種情況已經持續了一年，而且還沒有減弱的跡象。但這當然會到來，但我認為我們前面可能會有幾個困難的季度。所以我聽你說，克雷格，我們正在做我們認為合適而不是實際的一切，這就是我們所做的。

Look, I feel bad for the position you guys and I'm not being dragged to that. Obviously, the revenues you guys know, were down $300 million from 2019. So take out $60 million might have been a herculean effort relative to where your interest expense is now in the rising rate environment, your between a rock and a hard place here. I'm just editorializing here because I just worry long term you guys aren't going to get to long term if you don't take out a 5%, 10% plus on the cost like today rather than -- that's just my own personal thought on watching this from the outside.Â

看，我為你們的職位感到難過，我不會被拖到那個位置。顯然，你們知道的收入比 2019 年下降了 3 億美元。因此，相對於你現在在利率上升環境中的利息支出，你在這裡進退兩難，拿出 6000 萬美元可能是一項艱鉅的努力。我只是在這裡發表社論，因為我只是擔心從長遠來看，如果你們不像今天那樣在成本上增加 5%、10%，而不是——這只是我自己的，你們就不會長期發展從外面看這個的個人想法。

here are no further questions at this time. I'd like to turn the floor back over to David Field for closing comments.

目前沒有其他問題。我想將發言權轉回 David Field 以徵求結束意見。

Great. Well, thanks again, Rob, and thanks, everybody, for joining us here this morning, and we look forward to our next report. Thanks so much. Bye.

偉大的。好吧，再次感謝 Rob，感謝大家今天早上加入我們，我們期待著我們的下一份報告。非常感謝。再見。

This concludes today's teleconference. You may disconnect your lines at this time, and we thank you for your participation.

今天的電話會議到此結束。您此時可以斷開線路，我們感謝您的參與。